North American Free Trade Agreement Founded

During her election campaign, Hillary Clinton felt that the agreement was wrong. Both Clinton and Obama promised to change them. North American trade interests have tried to weaken a major NAFTA agreement on environmental protection and enforcement. This agreement – one of the few provisions welcomed by environmental groups allows groups and ordinary citizens to criticise Member States for not enforcing their own environmental laws. A three-country environmental cooperation commission is tasked with investigating these allegations and disclosing public reports. “This process is slow, but the embarrassment factor has proven surprisingly high,” Business Week noted. Since 2005, the U.S. government has opposed NAFTA revisions. But the Canadian government and many companies in the three countries continue to work to amend this agreement.

Another important effect of NAFTA has been the model it has offered to the rest of Latin America. Currently, Central America, Chile and the Caribbean have signed free trade agreements with NAFTA. This provides the poorest countries in Latin America with an important path for development and support for national democratization. Access to larger markets and open economic and political institutions also improve development. However, in the absence of basic infrastructure development, many Latin American countries will still face competition. This indicates that successful regional integration for poor countries requires development funds similar to those of EU countries in Southern and Eastern Europe. In order to achieve the goal of a common market of Mexican President Vincente Fox, tax transfers must precede the free movement of goods, services and people in order to make it politically tasty. Fox: “Our prognosis and our idea is to sell a long-term project in which we can move from a trade agreement to an agreement between nations or a North American common market. Going in this direction is more than just trade, more than facilitating the transit of goods, products, services and capital. It must involve the free movement of citizens, and it must involve a long-term monetary policy, perhaps a common currency in 20, 30, 40 years.